Financing for Development
Achieving global justice, mitigating climate change effects, building peaceful and safe societies, and other global development objectives requires a continuous engagement as well as funding. While leaders of the world agreed on ambitious and universal sustainable development goals in 2015, finding the finances to reach these goals remains a challenge.
Financing for development covers many different public and private, domestic and international financial flows, among which domestic fiscal revenues, public development aid, remittances, foreign direct investment and external debt. On one hand, the domestic resources, such as taxation, are by far the largest source of revenue for financing economic and social development although they are not usually used for social-justice. On the other hand, public sources of financing (including aid, and government borrowing) tend to be more predictable and stable and they also have the potential to be more used for social-justice by targeting the poorest and most vulnerable people.
In this debate, CONCORD actively campaigns to hold EU leaders accountable for their commitments to dedicate 0,7% of their Gross National Income to development assistance and to use this aid in genuine, poverty-focused and effective ways. We also advocate for the mobilization of other financing sources, including through promoting tax justice, combating illicit financial flows including tax dodging by transnational companies, improving the international financial cooperation and the global economic governance, and ensuring that private sector financial contributions focus on sustainability and human rights criteria.
Underpinning all this, CONCORD promotes strong, democratic ownership by the people in developing countries over their own development and financing policies.
CONCORD focuses on an evidence-based policy, including the writing of the annual AidWatch report. We actively engage in dialogues with leaders in EU institutions, member states and international organisations, also as part of broader coalitions of the civil society, to push for necessary policy changes and a more favourable policy environment.
The change we want to see:
- People’s ownership in the Global South on use of finances: We want the EU and Member States to increasingly respect the entitlement of citizens of the Global South to define their and their country’s sustainable development plans and the resources to finance them.
- Tax Justice: We support and amplify initiatives to promote tax justice.
- Quantity and Quality of the Official Development Assistance budget (ODA): We want the ODA to be genuine and innovative, and remain at the core of political debates to hold the EU and Member States accountable.
- Gender Equality: We want the programming and review of the EU financial instruments to lead to a bigger commitment towards gender equality.
- Framing the private sector’s contribution: We want the EU policies and practice to put the private sector’s contributions to development finance increasingly in the right(s) framework.
With the help of Coordination Sud, our report on the role of the private sector in development is now available in French: “Une feuille de route en 10 points pour l’Europe. Le rôle du secteur privé dans le développement”.read more
CONCORD took an active part in the AidEx conference in Brussels, that gathered more than 2.000 people from the aid and development. Here are the main takeaways from the debates, stands and discussions.read more
CONCORD in the news: This article by Isabelle Brachet, CONCORD expert on Sustainable Development and EU Policy advisor at ActionAid, on the role of the private sector in Development has been initially published in Euractiv. To ensure business enterprises play their role in generating more and better jobs and contribute to the transition towards a green and sustainable economic model in the Global South, the EU needs to adopt in-depth reforms.read more
Today, less than one euro out of 5 reaches least developing countries. OECD, time to reverse the trend.
Ahead of the DAC high-level meeting, CONCORD encourages the OECD to ensure aid maintains a laser focus on eradicating poverty and sustainable development for all. The outcomes of the meeting could reinforce current worrying trends for EU aid: decrease of aid to least developed countries, increase of conditionality and securitisation of aid as well as an increase of in-donor country costs reported.read more